Apple Seeking Out Flash Memory Components for Future iPod Models

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Date: Friday, April 27th, 2007, 09:34
Category: News

fullipod.jpg
The transition over to additional flash-based iPods may be sooner than you’d think.
A report on DigiTimes points out that Apple and Samsung have recently held talks discussing high volume purchases of flash memory chips for use in “all iPods and iPhones” from June to the end of 2007.
According to the article, Apple is reportedly working to secure between 400 and 500 million four gigabyte flash memory chips. The order runs between 10 and 15% more than the order that Apple has already booked with Samsung and the piece cites Samsung’s apparent uncertainty that it can meet Apple’s demands. The firm is also concerned that any decline in current iPod sales or lower iPhone sales than expected, could lead to an oversupply of flash memory component and thus affect industry pricing.
According to Macworld UK, similar discussions are also being held between Apple and Hynix Semiconductor.
In this week’s second quarter financial report, Apple confirmed that the component market, including flash memory, has been favorable towards them. The company has stated that its margins will likely shrink in the third quarter as a result of climbing memory prices, a factor Hynix Semiconductor affirmed when it stated that memory prices may climb as much as 20% in the next quarter.


fullipod.jpg
The transition over to additional flash-based iPods may be sooner than you’d think.
A report on DigiTimes points out that Apple and Samsung have recently held talks discussing high volume purchases of flash memory chips for use in “all iPods and iPhones” from June to the end of 2007.
According to the article, Apple is reportedly working to secure between 400 and 500 million four gigabyte flash memory chips. The order runs between 10 and 15% more than the order that Apple has already booked with Samsung and the piece cites Samsung’s apparent uncertainty that it can meet Apple’s demands. The firm is also concerned that any decline in current iPod sales or lower iPhone sales than expected, could lead to an oversupply of flash memory component and thus affect industry pricing.
According to Macworld UK, similar discussions are also being held between Apple and Hynix Semiconductor.
In this week’s second quarter financial report, Apple confirmed that the component market, including flash memory, has been favorable towards them. The company has stated that its margins will likely shrink in the third quarter as a result of climbing memory prices, a factor Hynix Semiconductor affirmed when it stated that memory prices may climb as much as 20% in the next quarter.

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